By Anadolu staff
ISTANBUL, Türkiye (AA) – The American shipping company Flexport Inc. announced on Thursday that nearly 170 ships have been diverted from the Bab el-Mandeb Strait in the Red Sea and 35 ships have been halted, awaiting instructions from their operating companies.
According to a statement by the San Francisco-based company, about 170 container ships have been rerouted around Africa, with 35 other ships docked due to attacks in the Red Sea.
Concurrently, the Houthi group in Yemen persisted in its threats to target ships associated with Israel passing through the strait, located south of the Red Sea, in solidarity with the Palestinians in the bombarded Gaza Strip.
Shipping companies have been rerouting vessels through the Cape of Good Hope to avoid potential attacks, incurring higher transportation costs and extended delivery time.
On Friday, Bloomberg reported that “the cost to move goods in a 40-foot container from Asia to northern Europe jumped 16% over the past week and is up 41% in December, according to the Drewry World Container Index released Thursday. Likewise, fuel freight bills are jumping, with some oil majors and tanker companies saying they will avoid the southern Red Sea.
It further said: “The widespread rerouting from the canals ensnares ships hauling everything from toys and auto parts to gas, fuel and crude oil.”
According to the Bloomberg report: “In the short term, it will raise costs and cause weeks of delays and could lead to the prices of some goods rising. It will also snarl the logistics of land-based firms that rely on predictable maritime schedules.”
These tensions arise during one of the busiest periods of the year for exports from China, as retailers replenish stock following the holidays and ahead of the closure of Chinese factories for the upcoming Lunar New Year holiday in February.
On Nov. 19, the Houthi group in Yemen declared the seizure of the Galaxy Leader, a cargo ship owned by an Israeli businessman, in the Red Sea, and subsequently brought it to the Yemeni coast.
The Houthi group has repeatedly threatened to target ships owned or operated by Israeli companies, "in solidarity with Palestine," and has urged countries to withdraw their citizens working within the crews of these ships.
*Writing by Rania Abu Shamala